The bill has been referred to the House Ways and Means Committee. It has drawn two co-sponsors — Devin Nunes (R-Calif.) and Joseph Crowley (D-N.Y.). A companion bill has not yet been introduced to the Senate.

The bill is designed to encourage third parties to inject equity into situations where a borrower is under water on the mortgage. If passed, the bill would provide a tax benefit in the form of 50% bonus depreciation on the amount invested into a distressed debt situation. The new investor would obtain a minority stake in the center and a preferred cashflow position on future income.